The end of 2025. is just around the corner – it’s time to prepare for the year-end closing!

In order to avoid last-minute stress and ensure the preparation of accurate financial statements, we suggest you to go through a checklist of key actions that you need to perform by 31.12.2025 (or as soon as possible).

Here’s  a checklist for the end of the year:

1. Inventory of assets and liabilities

• Conduct a physical inventory of inventory, fixed assets, small inventory and cash in the cash register.
• Reconcile the book value with the actual status determined by the inventory.
• Prepare the Inventory Record (mandatory for the annual report)

2. Reconciliation of receivables and liabilities

• Send balance receipts to all your customers and suppliers.
• Reconcile the posted and actual balance of receivables and payables.
• Consider and, in addition to tax justification, write off obsolete or disputed receivables.

3. Recording All Expenses and Revenues for 2025

• Enter all accounting documents (incoming/outgoing invoices, travel orders, salaries, depreciation, reservations, etc.).
• Ensure that all expenses related to 2025 are posted before the closing of the books.
• If you operate on a cash basis, pay special attention to payment deadlines.

4. Calculation of Salaries and Other Payments for December

• Prepare payment of salary, Christmas bonus, holiday allowance, rewards and other benefits.
• Process all payments such as severance pay, terminations, and sick leave longer than 30 days.
• Check if all tax reliefs have been correctly applied (for youth, persons with disabilities, etc.)

5. Preparation of documentation for tax reliefs and incentives

• Collect all the documentation required for recognition:
  • Increased research and development (R&D) costs.
  • Investments in renovation or energy efficiency.
  • Donations, scholarships and expenses for employed trainees.
• Check the conditions for reducing your tax base based on these items.

6. Review of Lease Agreements and Investments in Third-Party Property

• Review leases that are expiring or terminating and reconcile the write-down of investments in those assets.
• Check the tax recognition of the costs of adaptation of the leased property.

7. Proper archiving and preparation for revision

• All documentation (invoices, contracts, minutes) must be properly archived.
• If you are an auditee, prepare all the documentation for the audit procedure.

The key to a successful conclusion of the year-end closing is good cooperation and coordination with your accounting department!

Contact us with confidence – Your FINACRO team.

Author, Admin